Tata Communications withdraws its CWW bid (India)

Tata Communications has withdrawn its offer to acquire UK-based Cable & Wireless Worldwide (CWW). The move comes after Tata and CWW failed to reach a consensus on the offer price. Tata had initiated an evaluation of CWW in March 2012 and was due to submit a final bid on April 19, 2012.

NTT DOCOMO to increase stake in TTSL

Japan-based NTT DOCOMO is expected to increase its stake in Indian operator Tata Teleservices Limited (TTSL) from 26 per cent to 49 per cent. The additional stake will reportedly be acquired at a discount of around 20 per cent on TTSL’s current valuation. According to a contract signed between the two operators in 2008, NTT can exercise two call options to increase stake in the Indian venture under certain conditions.

 3i Infotech undertakes debt restructuring

ICICI Bank-promoted 3i Infotech has negotiated a debt restructuring with its lenders and has converted its Rs 6 billion short-term debt into long-term debt. The company has settled the exchange of its 96.33 per cent USD bonds and 100 per cent euro bonds with new USD 5 per cent convertible bonds, due for redemption in 2017. Further, the tenor of the remaining 3.67 per cent of USD bonds has been extended to 2017 as per the new terms. The bonds have been listed on the Singapore Stock Exchange with effect from April 26, 2012. These bonds have a maturity period of five years as against the earlier two-year period.

Vodafone India to raise Rs 3 billion

Vodafone India is planning to raise Rs 3 billion through a one-year commercial paper, which will offer a 10.4 per cent yield on maturity. Standard Chartered Bank has been selected as the sole arranger for the deal.

Kavveri Telecom’s subsidiary to raise $20 million through the PE route

Kavveri Telecom Infrastructure, a subsidiary of Kavveri Telecom, plans to raise $20 million through private equity (PE) funding. Currently, the company is in talks with a few PE funds to finalise the deal. The funding will be carried out through a fresh issue of equity. The amount raised will be used to enhance its operational capabilities and fund future acquisitions.

 Indosat approaches the bond market for funding operational expansion (Indonesia)

Indonesia-based PT Indosat will sell fixed rate conventional and Islamic bonds worth IDR 2.5 trillion to fund its operational expansion and to refinance its debt. The bonds have a maturity of 10 years. The operator has appointed DBS Vickers Securities Indonesia, Danareksa Sekuritas, HSBC Securities Indonesia, Mandiri Sekuritas and Standard Chartered Securities Indonesia as financial advisers for the sale.

Telkom Indonesia values Pacnet at $1 billion

PT Telekomunikasi Indonesia (Telkom Indonesia) has submitted a bid to buy Asian submarine cable network operator Pacnet for about $1 billion. Telkom Indonesia, which is majority owned by the  Indonesian government, has tabled the bid after conducting due diligence on Pacnet’s business over the past few months. Pacnet has appointed Credit Suisse and Goldman Sachs to provide advisory services for the deal.

Vimpelcom to sell stake in Gtel Mobile (Vietnam)

Vimpelcom has agreed to sell its entire 49 per cent stake in Vietnam-based Global Telecommunications Mobile (Gtel) and give up operational control in the company. The stake will be sold to Gtel Transmit and Infrastructure Service One Member Company Limited, a subsidiary of Gtel, for a cash consideration of $45 million.

 SingTel divests stake in FET (Singapore)

Singapore Telecommunications (SingTel) has sold its 3.98 per cent stake in Taiwan-based telecom operator Far EasTone. SingTel divested its holding for $273 million and expects to see a gain of around $95 million from the sale.

Telecom Namibia’s divestment in Mundo Startel nears completion (Namibia)

Telecom Namibia’s divestment of its entire 44 per cent stake in Angola-based fixed network operator Mundo Startel is nearing completion. The Namibian operator had announced its decision to withdraw from the partnership in May 2011, stating that the Angolan business had turned out to be a non-profitable one. Telecom Namibia, during the past seven years, has lost over $12.6 million through its investment in Mundo Startel.

KT Corporation to buy stake in Telkom South Africa (South Korea)

South Korea-based KT Corporation has entered into a preliminary agreement to buy a 20 per cent stake in Telkom South Africa. As per the deal, KT is likely to pay $3.26 per share for the stake. Telkom’s current valuation at $427 million is lower than the initial amount of $600 million quoted by KT when the deal was initiated in October 2011. However, there has been a decline in Telkom South Africa’s share price during the past few months, which is reflected in the reduced valuation.

TeliaSonera acquires 7.87 per cent stake in TEO LT (Lithuania)

TeliaSonera has acquired East Capital’s 7.87 per cent stake in Lithuania-based fixed line operator TEO LT. As a result, TeliaSonera’s total ownership in the company has increased from 68.29 per cent to 76.16 per cent. The stake has been acquired at Euro 0.64 per share, with a total cash consideration of Euro 38.9 million.